BCG MATRIX & P.M.E.G: SAMSUNG COMPANY

Diversification with new products launched on new markets can be achieved by:

• Concentric Diversification Strategy: Developing new products for new market segments using the earlier technology.
• Developing new products for new markets in a conglomerate diversification strategy.
• Developing new products for old customers, using new technology. This is called horizontal diversification strategy.

CAMERA, LAPTOP

INNOVATION OF ALL PRODUCTS;

INTRODUCTION OF NEW PRODUCT

BCG matrix & P.M.E.G: SAMSUNG COMPANY

"INSPIRE THE WORLD, CREATe THE FUTURE"

- SAMSUNG -

1. We comply with laws and ethical standards.

4. We care for the environment, safety, and health.

3. We respect customers, shareholders, and employees.

5. We are a socially responsible corporate citizen.

BACKGROUND & HISTORY

BUSINESS PRINCIPLES

VISION

The secondary target are the high school and college graduates who need devices which are multifunctional and portable. The secondary target includes medium size corporations and they aim to help managers and employees have crucial data access on the go.

Samsung targets the upper and middle class professionals. This usually have busy schedules and hence need to communicate with their colleagues and families.

2. We maintain a clean organizational culture.

MISSION

TARGET MARKET

CORE VALUES

In the mid-1990s, Samsung revolutionized its business through a dedication to making world-class products, providing total customer satisfaction, and being a good corporate citizen all under the vision of "quality first".

Becoming a Global Force (1994-1996)

On, March 1, 1938, founding chairman Byung-Chull Lee started a business in Daegu, Korea, focused primary on trade export, selling dried Korean fish, vegetables, and fruit to Manchuria and Beijing. In little more than a decade, Samsung which means "three stars" in Korea would have its own flour mills and confectionery machines, its own manufacturing and sales operations. And from these humble beginnings, would ultimately evolve to become the modern global corporation that still bears the same name today.

Samsung's Beginning (1938-1969)

SAMSUNG ENTERTAINMENT GROUP STARTED. (1995)

Samsung electronics started export of color televisions. (1977)

samsung electronics developed wireless internet phone (smartphone), a small, multi-functional phone. (1999)

Despite the 1997 financial crisis that affected nearly all Korean businesses, Samsung was one of a few companies that continued growing, thanks to its leadership in digital and network technologies.

Advancing the Digital Frontier (1997-1999)

In the 1970s, Samsung laid the strategic foundations for its future growth by investing in the heavy, chemical, and petrochemical industries. Another burst of growth for Samsung, came from the burgeoning home electronics business. Already a top manufacturer in the Korean market, Samsung electronics began to export its products for the first time during this period.

Diversifying in Industries and Electronics (1970-1979)

Samsung believes that living by strong values is the key to good business. That's why these core values, along with rigorous code of conduct, are the heartof every decision the company makes. People, Excellence, Change, Integrity, and Co-Prosperity.

• 1938 - 1969
• 1970 - 1979
• 1980 - 1989
• 1990 - 1993

• 1994 - 1996
• 1997 -1999
• 2000 - 2004
• 2005 - PRESENT

Samsung is dedicated to developing innovative technologies and efficient processes that create new markets, enrich people's lives and continue to make Samsung a digital leader.

To devote our talent and technology to creating superior products and services that contribute to a better global society.

PRODUCTS

Samsung Semiconductor & telecommunications co merged with samsung electronics. home appliances, telecommunications, and semiconductors are selected as core business lines. (1988)

Entering the Global Market Place (1980-1989)

Samsung's core technology businesses diversified and expanded globally during the late 1970s and early 1980s. During this period, restructured old businesses and entered new ones with the aim of becoming one of the world's top five electronics companies.

In an expression of its commitment to corporate social responsibility as a world leading company, Samsung Electronics announced the "Five Samsung Business Principles" in 2005. The principles serve as the foundation for its global code of conduct in compliance with legal and ethical standards and the fulfillment of its corporate social responsibilities.

SAMSUNG ELECTRONICS LAUNCHED COLOR MOBILE PHONE IN WHICH THE NEW CONCEPT UFB-LCD IS INTRODUCED. (2002)

The digital age has brought revolutionary changes and opportunities to global businesses, and Samsung has responded with advanced technologies, competitive products, and constant innovation.

Pioneering the Digital Age (2000-2004)

The company has two main segments and this is called multi segments targeting:

SAMSUNG ELECTRONICS MAINTAINED NO.1 POSITION IN THE GLOBAL TV MARKET FOR 10 CONSECUTIVE YEARS. (2015)

samsung electronics produced 10 millionth industrial robot. (1992)

Fortune Global Top Company, Samsung (2005-Present)

With the success of its electronics business, Samsung has been recognized globally as an industry leader in technology and now ranks as a top 10 global brand.

Competing in a Changing Tech Word (1990-1993)

The early 1990s presented tremendous

challenges for high-tech businesses.

People

Co-prosperity

Excellence

Integrity

Change

A business cannot be successful unless it creates prosperity and opportunity for others. Samsung is dedicated to being a socially and environmentally responsible corporate citizen in every community where we operate around the globe.

Operating in an ethical way is the foundation of our business. Everything we do is guided by a moral compass that ensures fairness, respect for all stakeholders and complete transparency.

Quite simply, a company is its people. At Samsung, we're dedicated to giving people a wealth of opportunities to reach their full potential.

Everything we do at Samsung is driven by an unyielding passion for excellence and an unfaltering commitment to develop the best products and services on the market.

In today's fast-paced globale economy, change is constant and innovation is critical to a company's survival. As we have done since our foundation, we set our sights on the future, anticipating market needs and demands so we can steer our company our long-term success.

LED

A LED display is a flat-panel display, which uses an array of light-emitting diodes as pixels for a video display.

LCD

A liquid-crystal-display (LCD) is a flat-panel display or other electronic visual display that uses the light-modulating properties of liquid crystals.

LCD AND LED PANELS

MOBILE PHONES

The company is among the biggest players in the smartphone market in the world. It has recently developed smartphones running Tizen OS, as an alternative to its Android-based smartphones.

MOBILE PHONES

MARKET PENETRATION

PRODUCT DEVELOPMENT

• The market penetration strategy can be used by a company to find ways to better adapt to the current market and increase its sales and profits.
• In the market penetration strategy the company is increasing its marketing efforts in order to gain a bigger market share for their existing products on the current market.
• One of the best ways to increase product's market share is to attract customers from competitors and to find more potential customers for the existing products.

When a company launches a new product on the current market, it can use the following intensive growth strategies:

• The company can develop new features for the product.
• The company can develop different product quality levels.
• The company can improve the product's technology.

A product developing strategy requires significant investments of time and money.

TELEVISIONS

TELEVISIONS

SEMICONDUCTORS

Samsung Electronics has been the world's largest memory chip maker since 1993.

SEMICONDUCTORS

In 2009, Samsung sold around 31 million flat-panel televisions, enabling it to maintain the world's largest market share for a four consecutive year.

Boston consulting group MATRIX

• Question marks are the units with low market share in a fast growing industry.
• They required large amount of cash to grow their market share. For example, promotional expenses.
• These can be STARS or DOGS

QUESTION MARK

• Dogs often have little future and are big cash drainer in the company.
• Generating cash just to BREAK-EVEN. It is a self-sustaining unit.
• They do not generate any profit for the overall business and hence, can be sold off and hired off.
• Product is in decline stage, with no chance of revival.
• Product may be repositioned or killed.

DOGS

• They are the business with low growth rate and high market share.
• Generating cash more than its requirement which can be used by other units.
• Product in maturity stage.

CASH COWS

• Are the unit with a high market share in a fast growing industry.
• Stars represent the best profits and growth opportunities in the organization.
• Generates high revenues and also requires huge cash for sustaining the STAR position.
• Product is in growth stage.

STARS

PRODUCT/MARKET EXPANSION GRID

LAPTOPS

A laptop, often called a "notebook" or "notebook computer", is a small, portable personal computer with a "clamshell" form factor, an alphanumeric keyboard on the lower part of the "clamshell" and a thin LCD or LED computer screen on the upper portion, which is opened up to se the computer.

PRINTERS

Fast printing speeds that produce crisp, high-quality documents.

LAPTOPS

PRINTERS

PRINTERS

AFRICA

MARKET DEVELOPMENT

DIVERSIFICATION

A company can use three approaches to develop the market when is launching a current product on a new market:

• The company can try to expand its distribution channels.
• The company can start selling the current product in new locations.
• The company can identify the potential users of the current product on the new market.

Companies can find new markets for a current product by focusing on geographical criteria such as city, region, state, or country.

In finding new markets, companies can also focus on demographical criteria such as sex, gender, axe, social class, and others.

CAMERAS

Choose from Samsung's wide range of SMART cameras which built and create the best moments in life on the go.

CAMERAS

MP3 PLAYERS

A portable media player (PMP) or digital audio player (DAP) is a portable consumer electronics device capable of storing and playing digital media such as audio, images, and video files.

MP3 PLAYERS

TABLETS

Enjoy powerful performance and a vibrant display from Samsung.

WATCH GEARS

Samsung Galaxy Gear extends the smartphone experience to your wrist and keeps you updated with glance notifications, so you can keep up with calls, texts, and emails.